Is this OK?

mephisto_2

Hi, this is my first post but have been lurking around for a week now!

Anyway, I have about 4k in and IF savings account NOT this ISA, becuase they dont allow under 18s, and the rate is 4.75%. Is this good for a direct access account. I am 17 and therefore cant afford a regular savings account.

Is there any better out there to make it worth moving? There was alot of hassle when I set up my IF account getting identification being rejected and having to phone up and stuff but I got there in the end. Are all internet accounts like this?

Hoping to start using credit card bagging soon when I turn 18, and casinos

sergeant121

There are at least 6 accounts offering better interest than that (see HERE).

Have a look through this site - there's plenty of advice available (that's where I [very quickly] found the above link).

cheerfulcat

Hi, Mephisto,

You are allowed a cash mini-ISA if you are over 16; it's just the stocks & shares you're not allowed to invest in.

HTH

Cheerfulcat

johnllew

IF's Mini-Cash ISA pays 5.10% which isn't too bad especially if you don't want the hassle of opening an account with another provider.

Open a mini cash ISA with as little as £1, and you'll receive a top rate that's guaranteed to stay at least 0.3% above the Bank of England's rate until 31st January 2005.

Han_naH

If you don't like opening accounts, seek a rate tracker account like that offered by Northern Rock.

Long term , this should offer the best return, instead of, as you say, opening and closing accounts like a fiddler's elbow.

I had one once with First Active - they allowed Moneyfacts magazine to find the 5 highest rates, then FA found the average and gave you that!

I was the armchair invester who never needed to leave his armchair again!

Rafter

Until you start earning don't worry too much about ISA limits - you don't have to pay tax anyway.

If you haven't filled out the form with IF then do so - they are probably deducting tax that you don't have to pay.

Therefore look for the best gross rate out there for now.

Credit card bagging may be tricky until you have a steady income and some credit history.

R.

lipidicman

Do worry about ISA limits.

You will still lose the entitlement (if you dont use it) even if you are a non-taxpayer. i.e. the earlier you start the fatter your isa and the larger portion of your savings earning interest tax free when you start work. This will be particularly important if Mr Brown cuts the allowance

(Of course this only applies if you are fortuanate enough to be able to take advantage of your allowance)

Robert_Sterling_3

I agree.

imported_Teal

Is the cut imminent? Are you guys sure it will occur?